prea spring conference - Pension Real Estate Association

OSTO
2016
PREA SPRING
CONFERENCE
March 8–9, 2016
The Westin Copley Place Boston
Boston Massachusetts
OSTO
Susan Swanezy
Petya Nikolova
Recep Kendircioglu
Harry Goldgut
Graeme Conway
Dr. Andy Xie
Dr. Philippa Malmgren
Anne Kavanagh
Sonny Kalsi
Goodwin Gaw
Day One
Tuesday March 8, 2016
8:00am – 9:00am Investor-Only Breakfast Program – Closed Session
8:00am – 9:00am New Members’ Breakfast and First Time Attendees’ Breakfast, St. George Room, 3rd Floor
8:00am – 9:00am Registration and Continental Breakfast, America Ballroom Foyer, 4th Floor
9:00am – 9:15am Welcoming Remarks by Conference Co-Chairs, America Ballroom, 4th Floor
Goodwin Gaw, Founder and Managing Principal, Gaw Capital Partners
Sonny Kalsi, Founder and Partner, GreenOak Real Estate
Anne Kavanagh, Global Head of Asset Management and Transactions,
AXA Investment Managers, Real Assets
9:15am – 10:15am The Global Economy, America Ballroom, 4th Floor
The conference will open with expert perspectives on the global macroeconomic backdrop. The panel will consider the downward drift in oil prices, slowdown of the Chinese economy,
equities market turbulence, and other important developments. The discussion will set the
stage for subsequent sessions focusing on real estate–specific issues as well as the closing
breakfast on geopolitical concerns.
Sonny Kalsi, Founder and Partner, GreenOak Real Estate
Dr. Philippa Malmgren, President and Founder, DRPM Group
Dr. Andy Xie, China-based independent Economist, formerly with the World Bank and
Morgan Stanley
10:15am – 11:15am Infrastructure Investment, America Ballroom, 4th Floor
America’s unmet infrastructure needs are well documented. How can institutional investors
participate in the process of addressing the backlog while fulfilling their investment
objectives? This discussion will set the infrastructure investment question in international context and explore a range of categories (transportation, energy and water resources) that
will be potential investment candidates for US investors.
Graeme Conway, Senior Managing Director, Macquarie Infrastructure and Real Assets
Harry Goldgut, Senior Managing Partner, Brookfield Asset Management and Chairman,
Brookfield’s Power and Utilities Group
Recep Kendircioglu, Managing Director, Power Team, John Hancock Financial Services
Petya Nikolova, Head of Infrastructure Investments, Bureau of Asset Management,
New York City Comptroller
Susan Swanezy, Partner, Hodes Weill & Associates
Barry Brakey
Brian Choi
Neil Cunningham
Johnny Zhang
Steven Kent
Mahmood Khimji
Barry Sternlicht
Laurence Tosi
Andy McCulloch
Ralph Rosenberg
Jeffrey Scott
Owen Thomas
Day One continued
Tuesday March 8, 2016
11:15am – 12:15pm Global Real Estate Capital Flows, America Ballroom, 4th Floor
How is the availability of institutional capital from pension funds, sovereign wealth funds, insurance companies and other global sources influencing real estate asset prices in
New York, London and other principal geographic targets? Do the prevailing cap rates in
these locations change the way real estate assets in other markets—whether different
metro areas within the same countries or entirely different international regions—might
be viewed as investment prospects? Alternatively, how does core pricing influence the
attractiveness of value-add, opportunistic and build-to-core strategies in prime locations
within gateway cities? A panel of leading global institutional investors will address these
and related questions.
Barry Brakey, Head of Property, Australian Government Future Fund Brian Choi, Managing Director, Head of Real Estate and Infrastructure Team,
Korea Investment Corporation Neil Cunningham, Senior Vice President, Global Head of Real Estate, Public Sector
Pension Investment Board
Goodwin Gaw, Founder and Managing Principal, Gaw Capital Partners Johnny Zhang, General Manager, Real Estate Investment Department, Ping An Trust
12:30pm – 2:30pm Luncheon, Essex Ballroom, 3rd Floor
12:30pm – 2:30pm Affinity Group Luncheon Program – Appointed Members Only
3:00pm – 3:50pm Disruptive Technology, America Ballroom, 4th Floor
How much pressure has the emergence of new lodging options put on the conventional
hospitality industry? Is price the critical determinant, or will customer service and quality
assurances continue to attract the lion’s share of travelers to familiar hotel brands? Or might
the industry find a middle ground where tradition and technological disruption meet,
foretelling new forms of merger and partnership?
Steven Kent, Global Investment Research, Goldman Sachs & Co.
Mahmood Khimji, Cofounder, Highgate
Barry Sternlicht, Chairman & CEO, Starwood Capital Group
Laurence Tosi, CFO, Airbnb
3:50pm – 4:50pm Dislocation of Public and Private Market Values: Which Inning? America Ballroom, 4th Floor
What do divergences between REIT prices and NAVs mean for the relative value to be found in privately held and publicly listed real estate? To what extent does this market dynamic drive privatizations, and where does the privatization wave place the cycle? Are we in the 6th inning, the 9th, or somewhere else entirely? A panel of market experts will consider these questions and what they mean for the future path of real estate pricing.
Andy McCulloch, Managing Director, Green Street Advisors
Ralph Rosenberg, Global Head of Real Estate, KKR & Co.
Jeffrey Scott, Senior Managing Director, Eastdil Secured
Owen Thomas, CEO and Director, Boston Properties
6:30pm – 7:30pm Cocktail Reception, America Ballroom Foyer, 4th Floor
7:30pm – 9:30pm Dinner with Trevor Noah, America Ballroom, 4th Floor
Trevor Noah is the new host of the Emmy and Peabody award-winning The Daily Show
on Comedy Central.
Trevor Noah
9:45pm Rising Leaders Cocktails – Invitation Only
Day Two
Wednesday March 9, 2016
8:30am – 10:00am Closing Breakfast Program with Fareed Zakaria, America Ballroom, 4th Floor
Fareed Zakaria has impressed PREA audiences with his mastery of international affairs. As new global
issues, from the nuclear accord with Iran to the machinations of ISIS, have emerged, the value of
Zakaria’s high-level analysis has never been greater. He will delve into the historical and sociological
underpinnings of the most important developments on the world stage and explain how these factors
can be harnessed to best understand the current geopolitical situation and import of likely future events.
Fareed Zakaria
CONFERENCE CONCLUDES
Other events to watch for
Women’s Tea – Invitation Only
Monday March 7th
4:30pm-6:30pm
Rising Leaders Cocktails – Invitation Only
Tuesday March 8th
9:45pm
LGREG
Wednesday March 9th
10:15am
Conference Committee
Howard Margolis
Chairman
MRP Group
Tom Flexner
Citi Global
Markets Inc.
Steve LeBlanc
CapRidge
Partners, LLC
Amachie Ackah
Clay Cove
Capital, LLC
Spencer Haber
H/2 Capital
Partners LLC
Greg Moran
Dividend
Capital Group
Trina Bigby-Sanders
Los Angeles
County Employees
Retirement Association
Alison Hawkins
Artemis
Real Estate Partners
Robert Murray
Praedium
Group LLC
Diego Carrillo
California Public
Employees’
Retirement System
Josh Kawaii-Bogue
California State
Teachers’ Retirement
System
Caixia Ziegler
Ford Foundation
Speaker Biographies
Barry Brakey is Head of Property at the Australian Government Future Fund and implements the fund’s global property mandate.
Prior to this, Brakey operated his own property advisory business, responsible for property invested both domestically and globally for a number of Australian government, industry, and corporate superannuation and investment funds. He is also a past
National President of the Australian Property Institute and has a wide involvement in property industry issues.
Graeme Conway is a Senior Managing Director and Head of Macquarie Infrastructure and Real Assets (MIRA) in the Americas. He
has 19 years’ experience in infrastructure and has worked in markets around the world, including Australia, Europe, and North
America. He has led numerous transactions across the water, energy, storage, and renewable energy sectors. Conway began
his career with the Macquarie Group in 1997 and has worked across the infrastructure industry in advisory, project finance,
structured finance, and infrastructure funds management. In 2001, he moved to the UK, where he worked on the establishment
of MIRA’s first European infrastructure fund. He subsequently established Macquarie Capital Advisory’s European Utilities and
Energy team and thereafter became Head of Macquarie Capital Europe. Conway moved to MIRA’s New York offices in 2012. He
has a Bachelor of Engineering and a Bachelor of Commerce in finance and management from the University of Western Australia.
Brian Choi is a Managing Director and Head of the Real Estate and Infrastructure Team of Korea Investment Corporation’s New
York office and is responsible for managing the firm’s real assets portfolio in the Americas. Since joining KIC in 2008, Choi has held
a variety of positions in the firm’s Private Markets Group, including Head of the Global Real Estate Investment Team. Prior to KIC,
Choi spent more than ten years as an investment banker at BNP Paribas CIB and the Korea Exchange Bank advising cross-border
M&A and capital market transactions. Choi holds a bachelor’s degree in business administration from Wagner College.
Neil Cunningham is Senior Vice President, Global Head of Real Estate at the Public Sector Pension Investment Board (PSP), which
manages the pension assets of the Canadian Public Service, Canadian Forces, and the Royal Canadian Mounted Police. Prior to
joining PSP in 2004, Cunningham held various positions in the real estate and finance industry with Merrill Lynch, the Brazos
(Lone Star) funds, the National Bank of Canada, and Coopers & Lybrand.
Goodwin Gaw is the Founder and Managing Principal of Gaw Capital Partners, a Hong Kong–based real estate private equity
fund management company that focuses on global real estate markets. Gaw has more than 20 years of real estate investment
and management experience, having served as Vice Chairman of Pioneer Global Group and Founder and Managing Principal
of Downtown Properties. He received a Bachelor of Science in civil engineering and a Bachelor of Science in finance from the
University of Pennsylvania and a Master of Science in construction management from Stanford University.
Harry Goldgut is a Senior Managing Partner and Chairman of Brookfield’s Power and Utilities Group. Goldgut, who has been with
Brookfield since 1997, led the expansion of Brookfield’s renewable power and utilities operations, with primary responsibilities for
strategic initiatives and senior regulatory relationships. He has played an active role in the restructuring of the electricity industry
in Ontario, Canada, as a member of several governmental committees, including the Electricity Market Design Committee, the
Minister of Energy’s Advisory Committee, the Clean Energy Task Force, and the Ontario Energy Board Chair’s Advisory Roundtable.
Goldgut attended the University of Toronto and holds an LL.B from York University’s Osgoode Hall Law School.
Sonny Kalsi is a Founder and Partner of GreenOak Real Estate. He was previously the Global Co-Head of Morgan Stanley’s Real
Estate Investing business and President of the Morgan Stanley Real Estate Funds. From 1997 through 2006, Kalsi and his team led
the formation of Morgan Stanley’s property business in Asia and built the real estate platform in the region. He is a graduate of
Georgetown University with a degree in business administration and is a member of Georgetown’s Board of Regents.
Speaker Biographies
Anne Kavanagh is the Global Head of Asset Management and Transactions at AXA Investment Managers, Real Assets. In this role,
Kavanagh is responsible for AXA IM—Real Asset’s activities in asset management, including transactions and development, and is
also a member of the Management Board and Investment Committee. Prior to joining AXA IM—Real Assets, Kavanagh was Managing Director at Lazard. She is also a trustee of the Urban Land Institute and a Board Member of the British Property Federation.
Recep Kendircioglu is a Managing Director at John Hancock Financial Services in the Power and Infrastructure Group. He joined
Hancock in 2007 and is responsible for the origination and execution of debt and equity investments in the infrastructure and utility sectors. Prior to Hancock, Kendircioglu worked for Enel North America, acquiring and developing renewable energy projects
in the US and Canada. Kendircioglu also worked at Enel’s head office in Rome, where he was responsible for evaluation of acquisition activities worldwide and worked on privatization bids in Poland and France. Prior to Enel, Kendircioglu worked for InterGen,
where he worked on development and financing thermal plants in the US. He also took on various asset management and
finance roles in the organization and managed the Strategy and Planning Group. Kendircioglu holds an MBA from Rice University
and a BS in computer engineering from Boğaziçi University, Istanbul.
Steven Kent is a Managing Director at Goldman Sachs & Co., specializing in the analysis of the lodging, gaming, and leisure sectors,
and he coordinates the global analysis of the hospitality area. He first joined Goldman Sachs in 1985 in the Economic Research
Group and rejoined the firm in 1990 to follow emerging growth companies. Kent earned a BA in economics from the State University of New York at Stony Brook and an MBA from New York University’s Stern School of Business.
Mahmood Khimji is Cofounder of Highgate, a fully integrated real estate investment, management, and development company.
Khimji graduated from the University of Houston, summa cum laude, with a bachelor of arts degree. He attended Columbia Law
School, earning a juris doctor. Subsequently, he practiced law at the Manhattan firm of Paul, Weiss, Rifkind, Wharton & Garrison.
Philippa Malmgren is President and Founder of DRPM Group and helps companies, investors, policymakers, and the public better
understand how risk and prices will move across the economic landscape. In 2015, she published Signals: The Breakdown of the
Social Contract and the Rise of Geopolitics and released the monograph “Geopolitics for Fund Managers.” She serves on several
advisory boards and working groups, including the British Ministry of Defence Working Group on Global Strategic Trends, the
Greater London Authority Infrastructure Advisory Board, the Legatum Institute at MIT, and Indiana University’s School of Public
Policy and Environmental Affairs and Manufacturing Initiative. Malmgren served as Financial Market Advisor to President George
W. Bush, was on the National Economic Council, and was a member of the President’s Working Group on Financial Markets and
the Working Group on Corporate Governance. She was the Deputy Head of Global Strategy at UBS and the Chief Currency Strategist for Bankers Trust and headed the Global Investment Management business for Bankers Trust in Asia. She is a frequent guest
on the BBC and a guest anchor on CNBC’s Squawk Box as well as Bloomberg programs. Malmgren has a BA from Mount Vernon
College and an MSc and a PhD from the London School of Economics.
Andy McCulloch is a Managing Director of Green Street Advisors and leads Green Street’s Real Estate Analytics team. Prior to launching Real Estate Analytics in 2013, he led Green Street’s coverage of residential REITs for eight years, covering apartments, student
housing, and manufactured housing. As a leading real estate research analyst, McCulloch has been quoted in the Wall Street
Journal, Barron’s, Forbes, Grant’s, and the Financial Times, among other industry publications. Prior to joining Green Street in 2005, he
spent three years at PLX Systems, working on valuation analytics for intellectual property. McCulloch is a member of the International Council of Shopping Centers, National Association of Industrial and Office Properties, National Multifamily Housing Council,
Pension Real Estate Association, and Urban Land Institute. He is a Chartered Financial Analyst and earned a BS and an MBA in
finance from the University of Southern California.
Petya Nikolova is Head of Infrastructure Investments at the Bureau of Asset Management, New York City Comptroller. She developed the infrastructure program and is building the infrastructure portfolio of the New York City pension funds. Nikolova joined
BAM from WestLB, where she was a Director in the Infrastructure Americas team, originating, structuring, and executing transactions across a variety of assets in transportation, social infrastructure, and utilities in the Americas. Prior to this, Nikolova spent nine
years with the Bank of Ireland and MBIA in infrastructure origination and execution, covering energy and infrastructure globally.
She holds an MPA from Syracuse University and an MA/BA in economics from the University of National and World Economy in
Sofia, Bulgaria.
Trevor Noah is a South African comedian and the host of the Emmy and Peabody award–winning The Daily Show on Comedy
Central. He joined The Daily Show with Jon Stewart in 2014 as a contributor. Noah has hosted numerous television shows, including South Africa’s music, television, and film awards, the South African Comedy Festival, and two seasons of the late night talk
show Tonight with Trevor Noah, and made US television appearances on The Tonight Show with Jay Leno and the Late Show with
David Letterman, becoming the first South African stand-up comedian to appear on either late night show. In Noah’s one-hour
stand-up special “ Trevor Noah: Lost in Translation,” he addresses major domestic and international events of the past year, sharing his outlook on the world today, including terrorism, racial tensions in the US, and what it was like being African and traveling
into the US during the Ebola crisis. Noah performed the one-man show “ The Racist” at the 2012 Edinburgh Fringe and was the
subject of David Paul Meyer’s award-winning documentary film You Laugh but It’s True, which tells the story of his remarkable
career in post-apartheid South Africa.
Ralph Rosenberg is the Global Head of Real Estate at KKR & Co. Prior to joining KKR, he was a Partner at Eton Park Capital Management and also managed his own firm, R6 Capital Management, which later merged into Eton Park. Previously, Rosenberg was a
Partner at Goldman Sachs. He holds an undergraduate degree from Brown University and an MBA from the Stanford Graduate
School of Business. He serves as a Trustee of Brown University and as a Trustee of the Masters School in Dobbs Ferry, NY. Rosenberg is a former member of the Stanford Graduate School of Business Trust and is an Honorary Trustee of the Francis W. Parker
School in Chicago.
Jeffrey Scott is a Senior Managing Director of Eastdil Secured and a member of the Eastdil Secured Management Committee. His
area of expertise is structured transactions, including mergers and acquisitions, portfolio sales/restructuring, and institutional
joint ventures. Scott, who has more than 30 years of experience, joined Wachovia Securities in 2002 and transferred to Eastdil
Secured in March 2009 after the Wells Fargo–Wachovia merger. He has a BS from the Wharton School of Business at the University
of Pennsylvania. Scott is a member of the Pension Real Estate Association, National Association of Real Estate Investment Trusts,
International Council of Shopping Centers, Association of Foreign Investors in Real Estate, and National Association of Industrial
and Office Properties.
Susan Swanezy is a Partner of Hodes Weill & Associates. Previously, she was a Managing Director and Head of Distribution for
Credit Suisse’s Real Estate Investments Group. Prior to joining Credit Suisse, Swanezy was a Managing Director at Stockbridge
Capital Partners, focused on client relations and business development. From 2002 to 2007, she was a Partner in Deutsche Bank
RREEF’s Client Relations Group, where she worked with institutional investors across a variety of real estate investment strategies.
Swanezy led the client relations and capital-raising efforts for RREEF’s global opportunistic funds business. She also held senior
roles in Deutsche Bank’s real estate arm, DB Real Estate, and played a leading role in the firm’s acquisition of RREEF. Until 2001,
Swanezy was an investment banker with Deutsche Bank’s real estate investment banking group, the successor entity to BT Alex
Brown. Prior to rejoining BT Alex Brown’s real estate group, Swanezy was a Principal in UBS’s real estate investment banking group.
Her real estate career began in Chase Manhattan Bank’s real estate lending group, and then she moved to Bankers Trust’s real
estate group.
Speaker Biographies
Owen Thomas is Chief Executive Officer and Director of Boston Properties. He was Chairman of Lehman Brothers Holdings from
2012 until March 2013 and continues to serve as a Director. Prior to Lehman, Thomas was with Morgan Stanley for 24 years, serving in a number of different roles, business units, and locations, including Chief Executive Officer of Morgan Stanley Asia, President of Morgan Stanley Investment Management, Head of Morgan Stanley Real Estate, and Chairman of Mitsubishi UFJ Morgan
Stanley Securities. He also served on Morgan Stanley’s Management Committee from 2005 until 2011. Thomas is a Director of the
University of Virginia Investment Management Company, a Director and Trustee of the Urban Land Institute, a Trustee of Woodberry Forest School, a member of the NAREIT Executive Board, and a former Chairman of the Pension Real Estate Association. He
received a BS in mechanical engineering from the University of Virginia and an MBA from Harvard Business School.
Laurence Tosi is the Chief Financial Officer of Airbnb and leads Finance, Treasury, Tax, Finance Systems, Corporate Development,
and the Customer Experience Platform. Prior to joining Airbnb, he was the CFO and a member of the Management Committee of Blackstone. Before Blackstone, Tosi held a number of senior positions at Merrill Lynch & Co., including Managing Partner,
Finance Director, and Chief Operating Officer of Global Markets and Investment Banking. Prior to that, he held senior positions at
General Electric Co.’s CNBC and NBC divisions as a Director of business development. Tosi is a member of the Board of Directors
of Georgetown University, where he earned a BA, a JD, and an MBA.
Andy Xie is an Economist and Guest Columnist for Caixin Media and the South China Morning Post. He predicted the bursting of
the 1997 Asian Financial Crisis, the 2000 dot-com bubble, and the 2008 credit bubble. In 2007, Xie predicted the beginning and
the bursting of China’s A-share bubble. His predictions and relevant analyses were published as research reports at the World
Bank and Morgan Stanley and in Caijing Magazine, the South China Morning Post, and the New Century Weekly. Xie began his
career as an Economist at the World Bank, between 1990 and 1995, where he worked on industry, trade, banking, and telecomrelated assistance projects in Indonesia and other Pacific Island countries. Between 1995 and 1997, he was an Associate Director
at Macquarie Bank in Hong Kong and Singapore. Xie joined Morgan Stanley in 1996 and worked there until 2006. He received an
MS in civil engineering and a PhD in economics at MIT.
Fareed Zakaria is the host of CNN’s Fareed Zakaria GPS, a Contributing Editor at the Atlantic, and a Washington Post columnist. Zakaria is widely respected for his thoughtful analysis and ability to spot economic and political trends. The Emmy-nominated and
Peabody-winning GPS features Zakaria’s panel discussions and interviews with heads of state, intellectuals, and business leaders.
His articles—ranging from the future of the Middle East and the US role in the world to the politics and culture of the global
economy—reach millions of readers weekly. His work has appeared in the New Yorker, the New York Times, the Wall Street Journal,
and Slate. Zakaria’s most recent book, The Defense of a Liberal Education, was published in 2015, and he is the author of the best
sellers The Post-American World and The Future of Freedom. Born in India and educated at Yale and Harvard, where he received his
PhD, Zakaria became the youngest Managing Editor of Foreign Affairs at 28. He was the Editor of Newsweek International from
2000 to 2010 and Editor-at-Large at Time from 2010 to 2014.
Johnny Zhang is General Manager of the real estate investment department at Ping An Trust, the investment division of Ping An
Insurance Group. He is responsible for onshore and offshore real estate investment, including fixed-income, mezzanine, and equity investment as well as direct acquisition on behalf of insurance capital, institutional, and retail investors. Prior to Ping An Trust,
Zhang served as Senior Investment Manager at Portman Holdings and Senior Manager at Colliers International. He has more
than 17 years’ experience in the real estate industry. Zhang received an MBA from the University of Hong Kong and a bachelor’s
degree in economics from Peking University.
BOSTON
PREA SPRING
CONFERENCE
March 8–9, 2016
The Westin Copley Place Boston
Boston Massachusetts
Pension Real Estate Association
100 Pearl Street
Hartford, CT 06103
860-692-6341
www.prea.org
BOSTON
2016